Romeo Power (NYSE:RMO) stock is soaring higher on Tuesday after announcing a deal with truck designer and manufacturer PACCAR (NASDAQ:PCAR).
This deal will have Romeo Power acting as a supplier of batteries to select battery electric vehicles (BEVs) made by PACCAR. The company’s brands include Kenworth, Peterbilt and DAF. This deal covers its Peterbilt 579 and 520 BEVs trucks sold in the U.S. and Canada.
According to a news release, Romeo Power is set to supply batteries for these PACCAR vehicles through 2025. It also notes that production is expected to begin after 2021.
Lionel Selwood, Jr., CEO of Romeo Power, had this to say about the deal boosting RMO stock higher today.
“PACCAR will continue to be a great partner for Romeo Power as we work to achieve our shared goals of reducing emissions with safe, energy efficient technology solutions. We look forward to continuing to collaborate with PACCAR to deliver leading-edge energy technology solutions that provide our customers with the extended range, safety and reliability they need to succeed.”
Following news of the supply deal with PACCAR, RMO stock is seeing abnormally high trading. As of this writing, more than 41 million shares of the stock have changed hands. To put that in perspective, the company’s stock typically moves roughly 6.5 million shares a day.
RMO stock was up 26.8% as of Tuesday morning but is still down 47% since the start of the year. On the flip side of that, PCAR is dipping slightly lower but its shares are up 10.3% year-to-date.
Electric vehicle stocks have been seeing quite a bit of movement lately with high hopes from EV investors.
This is largely due to President Joe Biden focusing on the market with a push toward green energy. That’s resulted in quite a few EV companies, such as Tesla, Inc. (NASDAQ:TSLA), Fisker (NYSE:FSR), and Workhorse Group (NASDAQ:WKHS), seeing major movement. Investors can get up to speed on this latest EV news below.
More EV Stocks News
- EV Stocks: What to Know About TSLA, NIO, CCIV, XPEV and LI Stocks
- Fisker Stock Remains a Formidable EV Contender
- Even as Workhorse Group Stock Stumbles, EV Investors Should Remain Loyal
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
